Indian shares fell on Monday as non-banking financial companies slipped on reports that the country's central bank could propose tighter rules for the sector, while HDFC Bank rose to a record high after strong quarterly results.
HDFC Bank reported an 18.1 percent growth in net profit during the third quarter of fiscal 2021 at Rs 8,758.3 crore as against Rs 7,416.5 crore in the same quarter of the previous fiscal.
The rise in net interest income was driven by advance growth of 15.6 per cent and a core net interest margin for the quarter of 4.2 per cent.
HDFC Bank's shares opened at ₹1472.80 as against previous close of ₹1466.35.
Its overall provisions and contingencies for the reporting quarter, which saw the economy trying to recover from the reverses of the pandemic, grew to Rs 3,414 crore as against Rs 3,043 crore in the year-ago period. The bank's tireless spotlight on stores helped in the support of a solid liquidity inclusion proportion at 146 percent, well over the administrative necessity.
HDFC Bank's domestic retail loan jumped 5.2 per cent. While other income during the same period stood at Rs 7,443 crore.
The all out credit cost proportion was at 1.25 percent, when contrasted with 1.41 percent in the quarter finishing September 2020 and 1.29 percent in the quarter finishing December 2019, it added.
"Total provisions for the current quarter include contingent provisions of almost Rs 2,400 crore for proforma NPA as described in the asset quality section".
Total deposits as of December 31, 2020 were Rs 1,271,124 crore, an increase of 19.1% over that of December 31, 2019. The restructuring under the RBI resolution framework for Covid-19 was approximately 0.5 per cent of advances, it said. The gross NPAs were 0.81 per cent of the gross advances compared with 1.08 per cent in April-September 2020.
Level 1 vehicle was at 17.6 percent as of December 2020 contrasted with 17.1 percent as of December 2019, it added.